05 April 2022

ECOFIN: Council Conclusions on the EU’s economic and financial strategic autonomy

RECALLS against this backdrop the Communication of the Commission of 19 January 20212,whereby the Commission sets out how the EU can reinforce its open strategic autonomy in the macro-economic and financial fields; highlights 3rd country CCPs

Council adopts conclusions on strategic autonomy of the European economic and financial sector

Today, the Council adopted conclusions on strategic autonomy of the European economic and financial sector. Given the dramatic changes in the geopolitical context over the last couple of months, the aim of achieving the EU’s strategic autonomy, whilst preserving an open economy, is even more crucial.

In its conclusions, the Council focuses on: 

• Strengthening the international role of the euro
• A strong, competitive and resilient European financial sector servicing the real economy, avoiding risks arising from excessive reliance on third-country financial institutions and infrastructures
• Shielding and strengthening the resilience of financial-market infrastructure
• Developing an effective mechanism for managing sanctions
• Cooperation with partners

The conclusions come after the Versailles Declaration of 10 and 11 March 2022, in which EU Heads of State or Government agreed to take more responsibility for the EU’s security and to take further decisive steps towards building European sovereignty, reducing our dependencies and designing a new growth and investment model for 2030.

In October 2020, EU Heads of State or Government had already emphasised that achieving strategic autonomy while preserving an open economy was a key objective of the Union.

The conclusions further develop elements contained in the Commission’s communication of January 2021 on “The European economic and financial system: fostering openness, strength and resilience”.

...

7. REITERATES that such overall strategy rests on several important and mutually dependent
approaches. Among these are the following three key pillars: securing a stronger international role of
the euro including through a stronger and deeper Economic and Monetary Union as well as promoting
the use of the euro and euro-denominated instruments globally; ensuring the resilience of the financial
sector so as to serve the real economy incl. through the completion of the Banking union and the
deepening of the Capital Markets Union, while reducing excessive reliance on third-country financial
institutions and infrastructures where it could be expected to create financial stability risks; protecting
the EU economic and financial system against the effects of the extra-territorial application of third-
country sanctions and other harmful practices, in addition to maintaining a well-functioning own EU
sanctions regime;

On the international role of the euro:

A strong, competitive and resilient European financial sector servicing the real economy, avoiding risks
arising from excessive reliance on third-country financial institutions and infrastructures:

31. HIGHLIGHTS that excessive reliance on third-country critical services providers could create
financial stability risks in times of financial market disruption; SUPPORTS current work from the
Commission to assess and tackle such excessive reliance, e.g. on third-country central counterparties
clearing derivatives;

ECOFIN

© Council of the European Union